The small caps not only broke below the $114 downside support level we were observing, but also broke below the bear flag on the daily chart, updated below.
Despite a name like SWC acting well again, I am largely holding off on new longs until I se how the small caps deal with yet another 200-day moving average test (yellow line). As the saying goes, the more a well-defined reference point is tested, the more likely it is to give way.
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Chess
Thoughts on airlines?
Agreed. Would love to hear thoughts on airlines, esp AAL and DAL. From my initial take, nothing is broken with the uptrend, but its starting to feel very extended
FXY not helping clarify broad market direction as price below 96, 200 DMA, and today down in concert with major indices. Been in a choppy range all of 2014.